Page 16 - AfrOil Week 35

AfrOil PROJECTS & COMPANIES AfrOil

“The Outeniqua Basin offshore South Africa disappointed by the results of exploration cam-
remains an under-explored, world-class hydro- paigns and wanted to focus on projects that had
carbon province. The Luiperd-1X well will test more potential for profit.
the eastern area of the Paddavissie Fairway on “Following an assessment of acquired seis-
Block 11B/12B to follow up on the Brulpadda mic data and with increased competition within
discovery of gas condensate and light oil last our exploration portfolio, these opportunities
year,” he said. “In the [event of success], the joint do not rank well enough compared to other
venture plans to flow test the Luiperd-1X bore- opportunities,” he said, accordingto Platts.
hole by performing a drill stem test. We look The spokesman indicated that Equinor
forward to drilling results in the fourth quarter.” had applied for regulatory approval to quit the
Block 11B/12B lies off the country’s southern projects, which represent all of its upstream
coast in the Outeniqua Basin. It covers an area assets in South Africa. He did not comment on
of around 19,000 square km and lies in waters reports that the US super-major ExxonMobil,
ranging from 200 to 1,800 metres in depth. a shareholder in three of the same blocks, was
Equity in the block is split 45% to Total, the also looking to unload its stakes in the country’s
operator; 25% to Qatar Petroleum; 20% to CNR offshore zone. ™
International (South Africa), and 10% to Main
Street 1549 Proprietary, in which Africa Energy
holds a 49% stake. (The other 51% is held by
Arostyle Investments, a black-owned South
African company.)

Equinor’s exit
News of Total’s move at Block 11B/12B followed
reports that another international major was not
going forward with exploration work offshore
South Africa.
A company spokesman told Platts last week
that Norway’s Equinor had decided to exit South
Africa’s offshore zone, where it has stakes in four
exploration licences. He explained the move
by saying that the Norwegian firm had been Luiperd lies within the same sequence as Brulpadda (Image: Africa Energy)

South Sudan hoping to replace

CNPC and other IOCs as operator

SOUTH SUDAN SOUTH Sudan has reportedly decided to the Melut Basin known as Block 3 and Block
assume control over domestic oilfields as con- 7. These sites typically yield more than 100,000
tracts with various international oil companies barrels per day (bpd) of oil, which represents
(IOCs) expire. more than half of South Sudan’s current output
According to the head of Nile Petroleum of about 170,000-180,000 bpd.
Corp. (Nilepet), the country’s national oil com- The Nilepet head did not say whether his
pany (NOC), the shift is likely to begin before company would seek to work with any foreign
the end of the decade. The first assets to be partners at Blocks 3 and 7 after the dissolution of
handed over to Nilepet are likely to be the two DPOC. He did state, though, that the NOC was
blocks held by Dar Petroleum Operating Co. working to expand its capacity and capabilities
(DPOC), said Chol Deng Thon Abel, the man- prior to taking over as operator.
aging director of Nilepet. Specifically, he said, Nilepet has teamed with
In an interview with Bloomberg, Chol Deng Schlumberger, one of the world’s largest oilfield
said that DPOC’s contract was due to expire service providers, to train local engineers and
in 2027. Nilepet does not intend to extend the other workers. The goal of the training process is
contract, so all of the companies involved in the to enable South Sudanese workers eventually to
consortium – operator China National Petro- take the place of foreign experts, he stated. The
leum Corp. (CNPC) and its partners, Sinopec training programmes cover all aspects of the oil
(China), Petronas (Malaysia) and Tri-Ocean industry, he added.
Energy (Egypt) – will exit the project at that He did not say whether the NOC would be
time, he said. working with any other foreign partners to pre-
DPOC is developing two licence areas in pare for the transition. ™

P16 www. NEWSBASE .com Week 35 02•September•2020